More information on signing hospitality agreements for nursing homes can be found here. Although third-party guarantees are prohibited, it is quite acceptable for the institution to ask a third party to sign on behalf of the potential resident if they are in fact the potential resident`s guardian, agent or lawyer. NOTE: It is the responsibility of the person acting under this authority to review the applicable documents so that they can enter into contracts or arrange medically necessary care on behalf of the potential resident. In some cases, more than one person may need to sign on behalf of the potential resident (i.e., health care officer and agent), problems may arise when a person signs under an authorization that has not been granted. If possible, the resident must sign the agreement himself. If the resident is unable to work, someone else can sign the agreement. Whether that person is financially responsible depends on what is written in the documents and in what capacity the signatory is acting. Finally, remember that you can always be an emergency contact and advocate on behalf of the resident without having to sign the registration documents as a responsible party. They`re not synonymous, and you may find that you can better serve (and protect) your family member or friend without registering as the latter.
A nursing home cannot require a resident not to be eligible for Medicaid or Medicare nursing home benefits. Similarly, a nursing home cannot require a resident to promise that they will not apply for or be entitled to these benefits in the future. My older brother, who is my mother`s agent under a power of attorney, took my mother to a nursing home. It does not waver. Should you sign a nursing home agreement for a family member? What is a “responsible party”? These are some of the important questions that Jim Schuster addresses. Answer: Actually, your instinct was right about money (no pun intended). Money is exactly what you would be responsible for. All the nursing home accommodation agreements I have ever seen state that the responsible party is only responsible for ensuring that the nursing home is paid out of the resident`s own funds. But then he goes on to say that if he doesn`t have enough funds, you`ll help apply for Medicaid, and if Medicaid doesn`t pay, you, the responsible party, may be asked to pay out of your own funds.
In short, you may have dodged the proverbial bullet. Please contact the Trust & Estate Litigation Group or estate planning group if you have any questions about what this might mean if you are a “responsible party” to someone else`s nursing home accommodation contract in Minnesota or if you are thinking about it. We will be happy to help you. When a loved one is admitted to a nursing home, not only will you help your loved one accept the changes that caused the move and manage the details associated with the move, but the nursing home will often ask you to sign the documentation. Nursing home accommodation arrangements can be complicated and confusing. What are you doing? “Responsible Party” Requirements for Nursing Home Admission Contracts. Minnesota Law § 144.6501 contains a separate provision for a person who signs a contract of admission to a nursing home on behalf of another person. By law, the person in the care of the retirement home is the “resident” and the person who signs the admission contract on behalf of the resident is the “responsible party”. You need to know what the law requires of a responsible party and how the law protects a responsible party. If this agreement is granted to you, the alarm bell should ring. What about joint accounts that the resident and the “responsible party” of the family have? Does the person in charge have a duty to spend everything on the nursing home? What is a “timely and reasonable spending reduction” under Medicaid regulations? What does it take to qualify someone for Medicaid? Does the responsible party guarantee that the resident is eligible no matter what? What about the money that the resident gave to the responsible party for the responsible party`s tuition? Does this money have to be returned to the resident and then to the nursing home for care? What happens if this is not financially possible? Depending on the wording of the agreement, these and many other concerns could become legally binding issues for the responsible party. How the family member presents themselves is crucial.
Under the Omnibus Reconciliation Budget Act of 1987 (OBRA `87), it is a violation of federal law for a qualified care facility to require a third party to insure the costs of a potential resident`s nursing home. See CFR § 483.12(d)(2). However, many nursing homes use hospitality agreements that defy the spirit and arguably the letter of federal law. These houses use license agreements that correctly state that a guarantor is not required, but then claim that the party signing the contract “voluntarily” agrees to be responsible for the invoice. If my husband goes to a nursing home and enrolls in Medicaid, will I lose his entire Social Security check? If you are helping a family member or friend enter a nursing home, read all documents carefully. .